Strides Pharma Science (STAR) Q4 23/24 earnings summary

Executive summary

• FY24 completed the Reset strategy initiated in FY22, delivering record full-year revenue and EBITDA; priorities include cash generation, growth investment and further deleveraging.

• A final dividend of ₹2.5 per share was declared for FY24.

Financial highlights

• FY24 revenue was ₹40,555m, up 14.4% YoY; Q4 revenue was ₹10,583m, up 6.9% YoY.

• FY24 EBITDA was ₹7,477m, up 77.6%; Q4 EBITDA was ₹2,040m, up 27.8% YoY.

• FY24 gross margin was ₹24,150m, up 19.3%; Q4 gross margin was ₹6,421m, up 8.9% YoY.

• Adjusted PAT was ₹1,990m versus ₹600m in FY23; adjusted EPS was ₹21.66 versus ₹6.64. Adjusted PAT excludes JV share and exceptional items, net of tax.

Outlook and guidance

• FY25 continuing-business revenue is targeted to grow 12–15% YoY, with significant H2 growth expected from targeted global product launches.

• FY25 EBITDA guidance is ₹9,500–10,000m, with a 20–22% EBITDA margin target.

• FY25 net debt/EBITDA target is below 2.0x by March 2025; planned net debt reduction is ₹5,000m, including ~₹2,800m of debt pushdown to OneSource.

• FY25 US revenue target is $285–300m; the objective is $400m within three years, supported by 60 additional product launches.

• FY25 capex is planned at ₹1,500–2,000m; OneSource targets revenue of $175–190m and EBITDA of $60–65m.